Will a Recession Spur a Housing Crisis?
Hank Saye
Hank founded Saye Triangle Realty in 2013, and the business has demonstrated strong growth every year since our inception...
Hank founded Saye Triangle Realty in 2013, and the business has demonstrated strong growth every year since our inception...
The headlines will continue to scream about a housing slow down and that is absolutely true.
This has been the hot topic of the week and a recession WILL NOT create a housing crisis. In four of the past six recessions, housing prices have increased.
Higher interest rates are impacting the Triangle and housing nationwide.
From March 3, 2022 to April 21, 2022, interest rates spiked from 3.76 percent to 5.11 percent, according to Freddie Mac. Since then, rates have been relatively stable. Most experts believe inflation and Fed interest rate hikes are already built in, or at the least, will certainly moderate.
The headlines will continue to scream about a housing slow down and that is absolutely true. However, we have to consider the baseline.
2017 through 2019 were great years in real estate. 2020 and 2021 were EXTRAORDINARY years. Of course, sales and appreciation rates will decline from those years. I believe it is a good thing because annual appreciation of 20 percent is not sustainable and is not healthy for the housing market.
Prospects and projections for 2022 are still very strong! Join us next week as we explore how this will impact the Triangle.
📞💬 Hank at 919-348-1558
📧 [email protected]